Romania\u2019s exports contracted by 7.5% y\/y to EUR 6.55 bln in August, while imports dropped by 3.0% y\/y to EUR 9.43 bln amid a combination of subdued economic activity across Europe and still strong domestic demand at home, according to data published by the statistics office INS.<\/p>\n
The trade deficit consequently widened by 9% y\/y to nearly EUR 2.9 bln in August.<\/p>\n
In the 12 months to August, Romania\u2019s exports contracted by 1.9% y\/y to EUR 92.1 bln, 2.8% less compared to the EUR 94.7 bln peak in May 2023.<\/p>\n
For the same 12-month period, the country\u2019s imports contracted by only 0.4% y\/y and 2.7% compared to May 2023, to EUR 123.7 bln. The domestic demand for consumption and investments prevented sharper contraction.<\/p>\n
The trade gap thus increased nominally by 4.3% y\/y to EUR 31.6 bln in the 12 months to August 2024.<\/p>\n
As a ratio to GDP, however, this was only some 9.3% of GDP, down from 10.1% in August 2023. The nominal GDP in 12 months to June (latest data available) expanded by 12.6% y\/y, driven mainly by a significant advance in prices.\u00a0<\/p>\n
In real terms, Romania\u2019s foreign trade (export, import, and even deficit) is shrinking in line with the industrial slowdown in Europe and subdued industrial activity at home.<\/p>\n